MIP #19 - Further Reduction in Overall Emission of MGP Tokens

Further Reduction in Overall Emission of MGP Tokens.

Abstract

Magpie, since its deployment on Mainnet over a year ago, has established itself as a pivotal player in the DeFi sector, providing invaluable yield enhancement and vetokenomics optimization services to different protocols. As the Magpie Ecosystem continues its growth trajectory and gains more traction across various blockchain networks, maintaining the value of MGP, our governance token, remains paramount. This proposal advocates for another phase of emission reduction to sustain the MGP token’s value and attractiveness moving forward.

Motivation

The role of MGP within the Magpie ecosystem is fundamental, as it provides multiple advantages including voting power and revenue share through vlMGP. As we continue to introduce new SubDAOs and services, the utility and benefits of MGP are set to rise. However, to maintain a balance between utility and scarcity, thereby enhancing its investment appeal, we suggest a further reduction in its emissions. Such a move will not only bolster the MGP token’s value but will also enhance its allure for potential and existing users, solidifying its position in the market.

Specification

Reduce total MGP emissions per second to 0.28 MGP/sec or 0.18 MGP/sec.